Today Netflix announced its third quarter earnings, revealing earnings per share (EPS) of $0.96 and 3 million new subscribers. Analysts had expected earnings of $0.93 per share.
The company now has 53 million subscribers in total. Netflix is clearly growing, but investors aren’t happy. Interestingly, Netflix technically grew faster in Q3 than it did in Q2; Netflix reported 48 million subscribers on April 21, 50 million on July 21, and 53 million today.
Netflix is down by more than 26 percent (as of 1:40 p.m. PT) in after-hours trading.
Above: Via: Google Finance
To consumers, however, this looked like a decent quarter for Netflix. In August, the company bragged that it had passed HBO in subscriber revenue (Netflix’s $1.146 billion to HBO’s $1.141 billion), and at one point the service apparently became more popular than YouTube in the U.K, according to one ISP.
AI Weekly
The must-read newsletter for AI and Big Data industry written by Khari Johnson, Kyle Wiggers, and Seth Colaner.
Included with VentureBeat Insider and VentureBeat VIP memberships.
Meanwhile, Netflix is working to expand its exclusive content collection, as it has reportedly secured deals with CBS, NBC, and the Weinstein Company. Netflix is still fighting with ISPs in the US over net neutrality laws. The company continues to strike deals with ISPs in the meantime. The service is now streaming 31 percent faster on Verizon FiOS, five months after a peering deal was signed.
VentureBeat's mission is to be a digital town square for technical decision-makers to gain knowledge about transformative enterprise technology and transact. Learn More